GS Paper - 3 (Economy)

The Economic Survey 2021-22 was tabled in Parliament on 31 January 2022 by Finance Minister Nirmala Sitharaman soon after the President's address to both Houses of Parliament. The survey, presented a day before the Union Budget, underlines the state of the economy and outlines suggestions for policy actions.

Highlights of the Economic Survey 2022

  1. GDP growth rate projected in the range of 8-8.5% for the next fiscal 2022-23 (FY23)
  2. Growth projections based on oil price projection of $70-75 per barrel next fiscal, against current price of $90
  3. Agriculture least hit by pandemic, sector to grow by 3.9% in 2021-22 after growing 3.6% the previous year
  4. Inflation on everyone's mind: Eco Survey flags global resurgence of inflation, warns of imported inflation
  5. The Survey also went into detail on the government's use of the Barbell approach to COVID-19, saying that this "helped make it possible to target the vulnerable sections/businesses better, keeping the pandemic's economic toll at much less than what could have been"
  6. Pandemic, job uncertainty continues to make people wary of EMIs, with home loans registering 8% growth in Novemeber 2021, 0.4% below 2020
  7. Railways: Rs 65,157 crore capital expenditure from April to November 2021; capex outlay in the ongoing financial year is at Rs 2.15 lakh crore, which is five times the 2014 level.
  8. Railways capex will increase further in coming years and emerge as an engine of national growth.
  9. India has the third largest startup ecosystem in the world after US and China.
  10. Five sectors capture around 83% of the aggregate pipeline value: Roads (27%), Railways (25%), Power (15%), Oil & Gas pipelines (8%) and Telecom (6%)
  11. Climate finance will remain critical to successful climate action by developing countries, including India.